Nothing says “Friday afternoon in Washington” quite like a constitutional crisis followed by a spontaneous tax on every single thing you own. On February 20, 2026, the U.S. Supreme Court decided to remind the executive branch that the International Emergency Economic Powers Act (IEEPA) isn’t actually a “do whatever you want” card. In a 6-3 ruling that left the White House fuming and trade lawyers salivating, the Court struck down President Donald Trump’s sweeping reciprocal tariffs as unlawful. Naturally, t ...

U.S. equity markets experienced a volatile session on Thursday, February 19th, 2026, as investors weighed surprisingly resilient labor market data against a cautious full-year outlook from the world’s largest retailer. Despite a significant beat in weekly jobless claims, the major indexes struggled to maintain early momentum, ultimately drifting lower as concerns over consumer spending and geopolitical tensions in the Middle East dampened risk appetite.Major Market Indexes Performance RecapThe major benchma ...

Welcome back to Market on Close. Shares of Deer have rallied to a new record high after the company topped earnings estimates earlier today. Profits in the company's construction business more than doubled and it raised its net income guidance to 4.5% billion to5 billion. Deer CEO said, quote, "These positive developments reinforce our belief that 2026 represents the bottom of the current cycle. shares trading up more than 11% on that report which means it's time for options corner Rick Ducat our lead marke ...

Key Takeaways New Jobless Claims Sink to Early 2026 LevelsTrade Deficit Sinks to -$70B, Inventories FlatWalmart, Deere & Etsy All Beat Earnings Ahead of the OpenThursday, February 19th, 2026We have a decent amount of grist for the stock market mill this morning, with key earnings reports joining key economic news. Pre-market indexes have slid into the red from early-morning highs, but are leveling off currently: the Dow is -133 points, -0.27%, the S&P 500 -19, -0.28%, the Nasdaq -92, -0.37% and the small-ca ...

Key Takeaways Caterpillar posted record Q4 2025 revenues of $19.1B, up 18%, with EPS returning to growth.CAT guides 2026 revenues near upper 5-7% CAGR, anticipates a $2.6B tariff impact.Deere faces a 2026 net income decline and tariff costs, with earnings estimates trending lower.Caterpillar Inc. (CAT) and Deere & Company (DE) remain two of the most prominent players in the heavy machinery space. Caterpillar, widely recognized for its yellow equipment, caters to diverse end markets such as construction, min ...

Market Performance - The three major A-share indices collectively rose, with the Shanghai Composite Index up 0.05% to 4134 points, the Shenzhen Component Index up 0.86%, and the ChiNext Index up 1.32% [1] - The total market turnover reached 2.16 trillion yuan, an increase of 159.7 billion yuan compared to the previous trading day, with nearly 3300 stocks declining [1] Sector Performance - The computing power concept surged, with stocks like TeFa Information and Dongyangguang hitting the daily limit [1] - The liquid cooling concept also rose, with Liou Co., Ltd. hitting the daily limit [1] - The power equipment sector saw gains, with multiple stocks including Dongfang Electric hitting the daily limit [1] - The CPO concept was active, with Tianfu Tongxin rising over 14% [1] - The small metals sector strengthened, with Zhangyuan Tungsten hitting the daily limit [1] - AI-related sectors such as Zhipu AI, Tencent Cloud, and AI chips had significant gains [1] - Conversely, the film and cultural media sectors declined, with stocks like Jinyi Film and Hengdian Film hitting the daily limit [1] - The tourism sector weakened, with Haikan Co., Ltd. dropping over 7% [1] - The prepared food concept weakened, with Haixin Food hitting the daily limit [1] - Other sectors such as millet economy, tax refund stores, and dairy stocks experienced notable declines [1] Top Gainers - The top gainers included sectors such as computer hardware, heavy machinery, and the internet, with respective five-day increases of 3.81%, 2.92%, and 2.85% [2] - Other sectors with positive net capital inflow included communication equipment, shipping, and electrical grid, with increases of 2.79%, 2.23%, and 2.15% respectively [2]

Core Viewpoint - The rotation out of technology stocks has positively impacted Caterpillar's stock performance, with shares up nearly 25% this year and almost 95% over the last 12 months, reaching an all-time high recently [1][4]. Company Performance - Caterpillar's power generation business has shown exceptional growth, with fourth-quarter sales up 44% year-over-year [3]. - The company's backlogs have increased by 71%, reaching a record $51 billion, indicating strong momentum expected to continue into 2026 [3][4]. - Operating margins are around 18%, slightly higher than the previous year, supported by volume growth and pricing realization [8]. Market Dynamics - The industrial sector is experiencing a shift as investors rotate out of technology, with Caterpillar benefiting from this trend [2][3]. - Despite challenges from tariffs, which are expected to impact costs by approximately $2.6 billion, investors remain focused on Caterpillar's growth potential [6][9]. Industry Context - Caterpillar is positioned as a key player in the power infrastructure sector, particularly in relation to the growing demand for data centers and AI-related power needs [10][12]. - The company is seen as part of a broader industrial trend that is closely linked to advancements in technology and infrastructure [10]. Competitive Landscape - G Venova is highlighted as another significant player in the power infrastructure space, benefiting from unprecedented demand and showing strong margin improvements [13].

Core Viewpoint - Gencor Industries, Inc. reported a decline in net revenue for the quarter ended December 31, 2025, primarily due to delays and uncertainty surrounding federal infrastructure spending, although gross profit margins improved due to higher sales of parts and components [1][7]. Financial Performance - Net revenue for the quarter was $23,577,000, down from $31,416,000 in the same quarter of 2024, representing a decrease of $7,839,000 [1]. - Gross profit margins increased to 28.7% from 27.6% year-over-year, driven by higher-margin parts and components sales [1]. - Operating income decreased to $3,101,000 from $4,624,000 year-over-year, attributed to lower revenues [3]. - Net income for the quarter was $3,442,000, or $0.23 per share, compared to $3,817,000, or $0.26 per share in the prior year [5]. Expenses - Product engineering and development expenses rose by $81,000 to $758,000 compared to $677,000 in the previous year [2]. - Selling, general and administrative expenses decreased by $471,000 to $2,896,000, attributed to lower commissions and professional service fees [2]. Other Income - The company reported net other income of $1,550,000, up from $534,000 in the previous year, including net realized and unrealized gains on marketable securities of $373,000 compared to losses of $(455,000) in the prior year [4]. Balance Sheet and Cash Position - As of December 31, 2025, the company had $147.7 million in cash and cash equivalents and marketable securities, an increase from $136.3 million at September 30, 2025 [6]. - Net working capital was $200.9 million, up from $197.7 million at the end of the previous quarter [6]. - The company had no short-term or long-term debt outstanding [6]. Backlog and Market Outlook - The backlog stood at $57.4 million as of December 31, 2025, compared to $54.4 million a year earlier, indicating a positive outlook for future orders [6][7]. - The president of Gencor noted a recent pickup in order activity and optimism from customers regarding large capital purchases, suggesting a solid year ahead [7].

Core Viewpoint - Caterpillar Inc. has been assigned an "Outperform" grade by CICC, reflecting a bullish outlook on the company's financial health and market position [1][6]. Financial Performance - Caterpillar's financial quality score has improved by 22 points to 75.30, driven by record-breaking fourth-quarter earnings and a substantial backlog of $51 billion [2][6]. - The demand for AI data centers has significantly contributed to the backlog, indicating the company's ability to leverage emerging market trends [2][6]. Operational Resilience - Despite facing $1.7 billion in tariff-related challenges, Caterpillar has demonstrated strong operational resilience [3][6]. - The management has acknowledged "manufacturing headwinds" that increased costs during the fourth quarter of 2025, yet the company maintains a robust price trend across various time frames [3][6]. Stock Performance - The current stock price of Caterpillar is $678.31, reflecting a decrease of 1.95% with a change of -$13.51 [4][6]. - Over the past year, the stock has experienced significant volatility, reaching a high of $723.16 and a low of $267.30 [4]. - Caterpillar's market capitalization stands at approximately $317.77 billion, with a trading volume of 2,777,700 shares on the NYSE [5][6]. Valuation Concerns - Despite strong operational performance, Caterpillar is considered to have a poor value ranking according to Benzinga Edge Stock Rankings, suggesting that its stock may be overvalued compared to peers [5][6].

Core Insights - Caterpillar Inc. (NYSE:CAT) is recognized as one of the best stocks to buy according to the Ken Fisher Stock Portfolio [1] - The company reported fourth-quarter results that surpassed Wall Street expectations, driven by strong demand for power generation equipment in AI data centers, leading to a 25% profit increase in its power and energy segment compared to the previous year [2] - Jefferies has reaffirmed its buy recommendation for Caterpillar and raised its price target from $700 to $750, indicating a cautious outlook for fourth-quarter earnings but noting steady volume and margin improvements across segments [3] Company Overview - Caterpillar Inc. specializes in producing industrial gas turbines, diesel-electric locomotives, off-highway diesel and natural gas engines, as well as mining and construction equipment [4]